Huawei founder Ren Zhengfei is urging staff to shift their focus on software development instead of hardware, according to an alleged internal memo spotted by Reuters. With the company’s smartphone production now at limited capacity, a change in direction is necessary in order to counter the ongoing sanctions that were imposed by the US government, he explained.
Huawei’s shift in focus to software would depend on finding the right business model and is envisioned to adopt an open source approach, the founder wrote. In addition, Ren encouraged staff to strengthen the company’s position in China and also build up its territory in regions, with the possibility of excluding the United States altogether. “Once we dominate Europe, the Asia Pacific and Africa, if U.S. standards don’t match ours, and we can’t enter the U.S., then the U.S. can’t enter our territory,” he said.